TESCO offers a variety of financing and leasing options to best serve the individual needs of our customers.

Depending on your circumstances (location, type of vehicle you wish to purchase, etc.), you may be eligible to lease your vehicle through either TESCO Transportation LLC or one of several TESCO financing/leasing partners.

Leasing/financing through TESCO Transportation LLC or a TESCO business partner will ensure a smooth transaction during both the vehicle purchase and throughout the finance/lease term.

ADVANTAGES OF LEASING

Lower Monthly Payments – Because you only pay for the portion of the bus that you actually use, your monthly payments are considerably lower than what they would be for a purchase loan for the same bus and term.

Leasing Provides 100% Financing – Most leases simply require first and last month’s payment in advance plus a small documentation fee. No up-front money is generally required.

Leasing Preserves Credit Lines – Credit lines with banks and other depository institutions are precious and difficult to establish. Conserve those lines for other things, such as A/R or emergencies.

Leasing Increases Purchasing Power – Your needs may require the capabilities of a $60,000 bus but your available cash/credit only allows for a $30,000 bus. It is not practical or efficient to settle for a smaller bus that only meets your needs halfway. We can increase your purchasing power by allowing you to finance the needed bus for the job. This way, you get the bus you need to meet your demands and promote growth.

Leasing is Convenient – Unlike dealing with bank loans and other alternative types of financing, leasing is an easy and convenient process. Typically all that is required is a one page application for transactions under $100,000.

Leasing is a Hedge Against Inflation – Since your payments apply to the use of the bus, you do not pay for ownership on a vehicle that consistently depreciates. Furthermore, your cash savings can yield a return that fights inflationary pressures.

Leasing Provides Fewer Maintenance Headaches – Most businesses like to lease for a term that coincides with the length of the manufacturer’s Powertrain warranty. As a result, your vehicle always has Powertrain coverage, and you don’t have to worry about out of pocket costs for covered repairs.

Leasing Provides Options – Leasing provides flexible end of lease options. At the end of the lease term, the bus can be returned, extended, or purchased.

Leasing is Tax Advantaged – You don’t pay sales tax on the entire value of a leased vehicle as you would if you had purchased. Your business is only taxed on the portion of the value that you use during your lease. The tax is spread out and paid along with your monthly lease payment instead of being paid all at once.

ADVANTAGES OF LEASING WITH TESCO

We have money to lend! – At TESCO, we understand the reality of the current credit environment, and we want to help you. Let TESCO finance your next bus purchase, allowing you to retain the credit and capital lines needed to expand and strengthen your business. Our ample capital supply combined with our many unique features enable us to provide our customers with unbeatable vehicle financing packages that other financial institutions simply cannot match.

One Contact, One Source – Your bus can be purchased, financed, and serviced by TESCO with one seamless transaction. Working with us eliminates the redundant phone calls and wasted time that working with outside lenders can cause. We have dedicated financial professionals who are ready and willing to handle all aspects of your transaction, no matter how small!

Flexibility – We do not offer “generic” financing packages. TESCO is dedicated to structuring any package to meet your needs. All terms, residuals, etc., are all negotiable and fully customizable.

Fast Credit Approval – Your credit can be approved on the same business day, depending on credit and the size of the transaction.

Higher Residuals – By working with our used bus sales department, TESCO can offer higher residuals on your bus.

Walk Away Lease – For those who prefer not to own their equipment upon lease expiration, TESCO can structure an operating lease. With this option, you are able to return the equipment and walk away with no obligation to purchase.

Lease to Own – Our Finance Sales Manager can structure packages allowing you to expense your payments as a lease and ascertain ownership upon disbursement of your final payment.

Short Term Leases – Some vehicles take a few months to manufacture. If you are in need of a vehicle right away but are still waiting on your ordered vehicle to be completed, TESCO can supply you with a short term lease vehicle until your customized vehicle is ready.

100% Financing Available – TESCO can structure financing packages with zero money down, allowing you to retain capital for your business uses.

LEASE TERMINOLOGY

TRAC Lease (Open End Lease) – This lease contains a Terminal Rental Adjustment Clause (TRAC) that guarantees your business a certain residual price for the vehicle when the lease expires. This is the most common type of lease for business owners who want the option of buying the vehicle for a pre-determined price at the end of the lease.

Closed End Lease – This lease looks more like a rental contract. You simply make your payments every month, show the expense on your P&L statements, and at the end, return the vehicle to us with no further liability (other than excess mileage or damages beyond normal wear & tear). You are not responsible for any difference in lease residual values or true market value. You are protected from any fluctuations in the market place. This lease normally has a slightly higher payment than a TRAC lease.

Traditional Bus Loan Financing – This loan ensures that you own your bus once the account is paid in full. The sales tax is billed at the time of purchase, and the bus loan will reflect on your financial statements.